Currently, power transmission in the United States relies on an alternating current (AC) transmission network with three distinctly separate and disparate systems. The failure of any one system cannot be supported by another, and the fact that these networks fail to communicate and interface limits the ability of energy providers to support peak demands and take advantage of regional capabilities and time zones. The existing technology has numerous limitations and drawbacks.
One drawback is that line losses equivalent to I2R heating amounts to 6.2% to 7.0% of the energy carried by the transmission line. Additional losses include dielectric, skin effect, and induction losses. For example, inductive coupling between phases require conductor transposition frequently to compensate for this magnetic interphase coupling. These transpositions result in increased construction costs.
Another drawback is the inability to communicate, support, and coexist in multiple markets. This inability to support distant needs ultimately results in a cascade effect by contributing to uncontrollable pricing fluctuations.
Yet another drawback is that transmission line inductance can and does result in generating a current component, which lags behind the voltage. This component will increase I2R losses and can contribute to system stability problems. This requires expensive and complex solutions to reduce the lagging component magnitude. For example, a long transmission line sometimes requires a large capacitor bank to be installed in series with the line to neutralize the inductance. The longer the line, the greater the inductance, and the greater the size of the capacitor bank required.